The conference on the economy of China, signs for the future of the global economy

That ended recently, was a national conference of the Chinese economy is crucial for the issues discussed, decisions taken and the impact it will have on the entire global economic system. China, grappling with the problem of inflation in the coming year will continue to implement an expansionary monetary policy by no means, going to measure out the credit, so try to maintain the difficult balance between the level of prices and production. The economic factor is intimately connected to the growing problem of social stability in the Chinese nation, which is likely to increase exponentially the phenomenon of dissidence, deeply felt by hierarchies of Beijing. The importance of the conference has been demonstrated by the participation of the highest authorities in China: the top leaders of government and the Chinese Communist Party, including President Hu Jintao and Premier Wen Jiabao over the top of the economic sectors.
The display output from the conference was very determined to advance the Chinese economy in a context of fighting inflation: a challenge for the Chinese authorities themselves, who have acted precisely on this lever for a long time to help the increase of development. But the acknowledgment of the failure of inflationary at the official level, China’s entry means, in effect, the global economic system to play a role as a regulatory role. The importance of macroeconomic and maintaining control of consumer prices has now become a priority for the Chinese domestic politics, which, given its size, can not fail to reverberate on the overall data of the global economy. In addition to concerns on the domestic front, Beijing regarded with apprehension the developments of the story euros, which represents the area for China, the most attractive market, because a drop in consumption in Europe, caused by lack of growth could cause severe damage to Chinese exports, going to affect their own programs established by the government to control inflation. This fear has to take into account the possibility of investing a large portion of the available liquidity in China, directly in funds that generate growth in the euro countries, with contributions from both direct stimulation of the economy, both countries with the aid accounts in trouble. For European leaders will be to see the spirit in which Beijing will bring this aid, if only so subdued to facilitate its economy, but within a framework provided by these regulations to ensure those certainties, which ultimately will be real and their loans, or take advantage of the situation of hardship to get more specific in its economy, through investments or acquisitions. Faced with this last hypothesis, which seems the most concrete, it will be appropriate for the EU tools immediately to contain the attempt to conquer the dragon.